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Sep 30, 2022

MRC Global Q3 2022 Earnings Report

Announced third quarter 2022 results with revenue growth driven by gas utilities and DIET sectors, record adjusted gross margin and adjusted EBITDA margin.

Key Takeaways

MRC Global reported strong Q3 2022 results, with sales of $904 million, a 32% increase compared to Q3 2021. The company achieved record adjusted gross margin of 21.9% and adjusted EBITDA margin of 9.1%. Net income attributable to common stockholders was $18 million, or $0.21 per diluted share, compared to a net loss of ($17) million, or ($0.21) per diluted share in Q3 2021.

Sales of $904 million, a 32% improvement compared to the same quarter a year ago

Adjusted Gross Profit, as a percentage of sales, of 21.9%, an increase of 60 basis points compared to the second quarter of 2022 and an MRC Global record

Adjusted EBITDA of $82 million, or 9.1% of sales, a company record for adjusted EBITDA margins

Backlog of $773 million, up 4% compared to the second quarter of 2022 and up 49% compared to year end 2021

Total Revenue
$904M
Previous year: $685M
+32.0%
EPS
$0.42
Previous year: $0.09
+366.7%
Adjusted EBITDA
$82M
Previous year: $39M
+110.3%
Backlog
$773M
Gross Profit
$165M
Previous year: $95M
+73.7%
Cash and Equivalents
$29M
Previous year: $47M
-38.3%
Free Cash Flow
$30M
Previous year: -$33M
-190.9%
Total Assets
$1.92B
Previous year: $1.82B
+5.7%

MRC Global

MRC Global

MRC Global Revenue by Segment

MRC Global Revenue by Geographic Location

Forward Guidance

Looking forward to 2023, the company expects double-digit revenue growth, higher annual EBITDA margins and strong cash flow generation.

Positive Outlook

  • Expects double-digit revenue growth in 2023
  • Anticipates higher annual EBITDA margins in 2023
  • Projects strong cash flow generation in 2023